AfDB approves $98 million financing for Ethiopia-Djibouti road project
Wednesday August 07 2019
A stretch of superhighway between Ethiopia's capital Addis Ababa and a satellite town Nazareth. AfDB has approved $98 million financing for Ethiopia-Djibouti road project. FILE PHOTO | NMG
The African Development Bank (AfDB) has approved a $98 million financial package for Ethiopia for a road transport corridor project to neighbouring Djibouti, it said late on Tuesday.
The project’s total cost is $255 million, comprising an AfDB grant of $98 million to Ethiopia’s government and an AfDB grant of $5.3 million to Djibouti’s government, plus a co-financing contribution of $151 million by Ethiopia’s government.
“The project will enhance trade by significantly reducing transport costs, thereby accelerating the economic growth of Ethiopia and its neighbour Djibouti, as it is part of the main import-export corridor,” the AfDB said in a statement.